Larger, restricted and AR firms more consistent on suitability - FCA

Advice found to be 'suitable' in 93.1% of cases

Tom Ellis
clock • 3 min read

The regulator has found larger, restricted and firms tied to networks to be more consistent in providing suitable advice than their smaller, independent and directly authorised counterparts.

In its latest suitability review the Financial Conduct Authority (FCA) said it was pleased to find advice given by regulated financial advisers was suitable in 93.1% of the cases but found slight variances in the types of firms it regulates. The regulator had assessed 1,142 individual pieces of advice given by 656 firms against its suitability and disclosure rules.  It found restricted advisers were more likely to give suitable advice than their independent counterparts, while appointed representatives (AR) of networks also fared better than advisers who were directly authorised.  ...

To continue reading this article...

Join Professional Adviser for free

  • Unlimited access to real-time news, industry insights and market intelligence
  • Stay ahead of the curve with spotlights on emerging trends and technologies
  • Receive breaking news stories straight to your inbox in the daily newsletters
  • Make smart business decisions with the latest developments in regulation, investing retirement and protection
  • Members-only access to the editor’s weekly Friday commentary
  • Be the first to hear about our events and awards programmes

Join

 

Already a Professional Adviser member?

Login

More on Regulation

2024 general election: Reform UK manifesto has all eyes on the BoE

2024 general election: Reform UK manifesto has all eyes on the BoE

Party says it will tackle BoE interest payments to banks on QE reserves

Professional Adviser
clock 17 June 2024 • 1 min read
Where to next for the FSCS levy after recent developments?

Where to next for the FSCS levy after recent developments?

‘One positive aspect of the recent reduction is the successful recoveries’

John Netting
clock 03 June 2024 • 2 min read
Three key areas of regulatory focus for the advice profession

Three key areas of regulatory focus for the advice profession

'The only constant is change and this is certainly true for regulation'

Alex McGregor and Kris Armstrong
clock 24 May 2024 • 5 min read